Yes ... or maybe "make an appointment for" or "make a date for" ... but the exchange reads well. =)
In this context, "make it" does not mean "meet." Instead, it refers to setting a time or agreeing on a specific time for an event or activity. In the given conversation, the phrase "let's make it at six in the evening" means suggesting that the event or activity will occur at 6:00 PM. The response "that's too late" indicates that the proposed time does not work for the person who is responding. They then suggest "an hour earlier" as an alternative time, implying that they would like to change the proposed time to an hour earlier than initially suggested. The final statement "good, see you then" signifies agreement with the new proposed time.
